Travelport readies launch of $3.3 billion of term loans for Thursday

By Sara Rosenberg

New York, Feb. 25 – Travelport Worldwide Ltd. is scheduled to hold a bank meeting on Thursday to launch $3.3 billion of term loans, according to a market source.

Bank of America Merrill Lynch, Deutsche Bank Securities Inc., Macquarie Capital (USA) Inc., Credit Suisse Securities (USA) LLC and Barclays are the lead on the deal.

The debt consists of a $2.8 billion seven-year covenant-light first-lien term loan and a $500 million eight-year covenant-light second-lien term loan, the source said.

Based on filings with the Securities and Exchange Commission, the company is also expected to get a $150 million revolver.

Proceeds will be used to help fund the buyout of the company by Siris Capital Group LLC and Evergreen Coast Capital Corp. for $15.75 per share in cash. The transaction is valued at about $4.4 billion.

Other funds for the transaction will come from up to $1.08 billion of equity.

Closing is expected in the second quarter, subject to customary conditions, including approval by Travelport shareholders and receipt of required regulatory approvals. The transaction is not subject to any financing condition.

Travelport is a Langley, U.K.-based travel technology company.

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